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FMI Air ready to test out new model for Myanmar aviation market with CRJ base at Nay Pyi Taw

Analysis

Myanmar start-up FMI Air is aiming to launch scheduled services by the end of 2014 using 50-seat CRJ200 regional jets based at the capital Nay Pyi Taw. FMI will become the first airline to establish a hub at Nay Pyi Taw, which has an underutilised modern international airport that opened in 2011.

FMI will enter an extremely crowded domestic market which is already served by eight airlines. But it sees an opportunity to differentiate by operating jets rather than turboprops, providing a higher level of service, partnering with foreign carriers and becoming the first domestic operator in Myanmar with IOSA certification.

FMI Air will initially operate on the Yangon-Nay Pyi Taw route, which it has served over the last two years using wet leased aircraft. But it plans quickly to establish a hub at Nay Pyi Taw with several domestic routes in the first phase and eventually regional international routes.

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